Texas House Bill HB5333

Texas 2023 - 88th Regular

• Filed: 3/30/23
• Out of House Committee: 5/3/23
• Voted on by House: 5/12/23
• Out of Senate Committee: 5/19/23
• Voted on by Senate: 5/24/23
• Governor Action: 6/13/23

Caption

Relating to the creation of Fort Bend County Municipal Utility District No. 252; granting a limited power of eminent domain; providing authority to issue bonds; providing authority to impose assessments, fees, and taxes.

Impact

The bill is significant as it formalizes the establishment of a municipal utility district, a common mechanism in Texas for developing areas that require specific utilities and infrastructure. By equipping the district with the authority to issue bonds and impose taxes, this legislation potentially enhances local governance and streamlines financial mechanisms for community development. However, this also raises concerns regarding the imposition of additional taxes on residents and the effective management of any new revenue that might be generated.

Summary

House Bill 5333 establishes the Fort Bend County Municipal Utility District No. 252 within the extraterritorial jurisdiction of Needville, Texas. The bill grants this new district limited powers, including the ability to impose assessments, fees, and taxes, along with the authority to issue bonds to finance its operational needs. Intended primarily to serve the public in a growing residential area, it encompasses a tract of approximately 134.66 acres that is largely undeveloped and poised for future development, supporting the construction and maintenance of essential infrastructure such as roads and drainage.

Sentiment

The general sentiment surrounding HB 5333 appears to be supportive, particularly from local representatives who see its potential to foster development in Fort Bend County. However, as is often the case with utility districts, there exists a balance of concern among community members about increased taxes and the efficient allocation of funds raised through bonding and assessments. While proponents emphasize the public benefits of needed infrastructure, detractors may fear the long-term financial implications for homeowners within the newly formed district.

Contention

Notably, the bill includes provisions to limit the exercise of eminent domain by the district, a crucial point of contention in many discussions regarding municipal utility districts. Opponents of such districts often express concerns about property rights and the potential misuse of eminent domain to acquire land for projects. As a result, the inclusion of conditions barring eminent domain powers reflects an attempt to address these concerns while still enabling the district to function effectively in managing local utility and infrastructure needs.

Texas Constitutional Statutes Affected

Water Code

• Chapter 49. Provisions Applicable To All Districts
  • Section: 102
  • Section: 102
  • Section: 107
  • Section: 102
  • Section: 102
  • Section: 107
  • Section: 108

• Chapter 54. Municipal Utility Districts
  • Section: 016
  • Section: 0165
  • Section: New Section
  • Section: 601
  • Section: 602
  • Section: New Section
  • Section: 601
  • Section: 602
  • Section: 016
  • Section: 0165

Special District Local Laws Code

• Chapter 7975. Cresson Municipal Utility District No. 1 Of Hood County
  • Section: New Section